Digital IIoT technologies in the oil and gas industry

Industrial Automation Experts
4 min readNov 16, 2020

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Today, the oil and gas industry is already using smart fields and refineries, robots, drones and much more.

The basic principle of Industry 4.0 technology is a transition from partial automation of individual processes to fully automated digital production, which is controlled by intelligent systems in real-time.

BP predicts an increase in recoverable oil reserves worldwide due to technological development. It is expected to exceed 1 trillion barrels by 2050, with an average reduction in production costs of 30 %. The digitalization of the industry should contribute about a third of the cost reduction. Vygon Consulting estimates the potential growth of recoverable oil reserves in Russia due to the technological development of the industry at 6.8 billion tons.

Oil and gas companies are beginning to pay great attention to working with Big Data. Companies collect huge amounts of data every day. An average deposit can generate 15 petabytes of information per year (peta is 10 to the 15th power). Of course, this amount of information cannot be processed manually.

Oil wells become smart

There are very few new projects for the production of light crude in the industry, which means the life of existing fields has to be extended as much as possible. This can be done through digital transformation and the creation of smart fields. Such projects use Big Data, the Internet of Things and digital twin technologies.

Smart Fields work by integrating real-time measurement, control and management technologies. This allows a continuous flow of information and quick response to various situations. Smart wells streamline production through enhanced oil recovery and reduce equipment failures and operating costs.

Robotic snakes and drones

Artificial intelligence and robots are increasingly being used in the oil and gas industry.

Chevron used artificial intelligence in California to identify new drilling sites. Analysis of historical data on oil wells in the region allowed the company to increase production by 30 %.

Equinor (formerly Statoil) has developed a continuous reservoir monitoring system for the Johan Sverdrup field in the North Sea. Now the company automatically controls the drilling process from the platform. This has significantly increased the oil recovery factor (ORF) compared with the average figures at other fields.

Equinor plans to use the Eelume snake robot to inspect pipelines and mining equipment. The robotic snakes will help reduce the cost of underwater inspection. The robots will reside subsea and will be recharged in a special docking station.

Onshore, oil companies typically use drones, mainly for monitoring pipeline systems. According to experts, drones can reduce the cost of operating pipelines by up to 85 %.

Digitalization of refineries

Technology does not stand still. The control of technological processes at the refinery moved first to analog and then to digital systems. The transition to advanced process control systems and the use of analytical solutions maximize profits in oil refining.

This is how the concept of the Digital Factory was born, which is a production line where the state of each piece of equipment is continuously monitored in real-time and management decisions are made based on this data. The Industrial Internet of Things (IIoT) technology allows to implement the concept of the Digital Factory.

Digital twin technology allows, through cloud models of real technological processes, to assess the feasibility and safety of changing various parameters or test a new control strategy. This can increase production by 7 %. And predictive control technologies can help increase equipment uptime and minimize downtime.

A new level of digitalization

Digitalization is taking place not only in the oil refining sector. The main challenge is to connect all the elements of the value chain on a common platform. This trend is called networks of industry coopetition. Connecting all elements of the value chain will create a competitive advantage. Oil and gas companies will be able to respond more quickly to market and production opportunities.

Digitalization will also affect employees. This is what the Connected Worker concept envisions: it offers to track the location and movement of workers to keep them safe and efficient. Wearable devices will help staff instantly connect with experts or access an electronic database.

VR/AR technologies are increasingly used in training employees. For example, a joint project between Schlumberger and PTC provides training for up to 20,000 drilling rig workers per year, saving 30 % on costs by eliminating employee visits to training centers. This does not affect the quality of training, which is critically important when working in hazardous industries.

The changes don’t end there. New technologies are constantly emerging that await implementation in the oil and gas industry.

What other technologies are used in the oil and gas industry? Tell us in the comments!

#industrialautomation #IIoT #oilandgas

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Industrial Automation Experts
Industrial Automation Experts

Written by Industrial Automation Experts

Community of Industry 4.0 enthusiasts. Discussion of innovations in the field of industrial automation and digitalization, IIoT (Industrial Internet of Things)

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